The market is full of great dividend stocks to buy right now. Investors can establish a good starting position in those stocks with less than $1,000 in the current market.
Here’s a look at five of those stellar dividend stocks to buy right now for any portfolio.
Option #1: Canadian Tire
Canadian Tire (TSX:CTC.A) is one of the oldest and best-known retailers in the country. Apart from its namesake, Canadian Tire boasts several different brands, including everything from clothing and financial services to party supplies.
In total, the company has over 1,600 locations in Canada across all of its brands, which gives the stock a very strong brand following as well as an element of diversification. Canadian Tire also boasts a growing e-commerce segment.
Turning to income and why this is one of the dividend stocks to buy right now, Canadian Tire offers a juicy quarterly dividend. As of the time of writing, that yield works out to an impressive 4.89%.
Option #2: Enbridge
Enbridge (TSX:ENB) is a name that most investors should know. The energy infrastructure behemoth has its tentacles in multiple parts of the market.
That includes a natural gas utility, a growing renewable energy business, and its core pipeline operation. The pipeline business generates the most revenue, while the other segments offer defensive appeal and growth potential.
More importantly, those segments generate ample revenue that leaves room for both growth and a very tasty dividend.
That dividend pays out a 6.26% yield, making it one of the better-paying options on the market. Enbridge has also provided annual upticks to that dividend going back three decades without fail.
In short, Enbridge is easily one of the no-brainer dividend stocks to buy right now for any portfolio.
Option #3: Canadian Utilities
Canadian Utilities (TSX:CU) represents one of the most defensive options on the market. That’s because utility stocks like Canadian Utilities generate revenue streams backed by regulated contracts.
Those contracts typically span decades in duration, resulting in a recurring and stable revenue stream. That predictable revenue stream allows Canadian Utilities to pay out a very handsome dividend.
As of the time of writing, Canadian Utilities boasts a juicy 5.38% yield. Amazingly, that’s not even the best part.
Canadian Utilities has provided investors with annual upticks to that dividend for over 50 consecutive years without fail. This makes the stock one of just two Dividend Kings in Canada.
This makes Canadian Utilities a great buy-and-forget candidate and one of the best dividend stocks to buy right now.
Option #4: Bank of Montreal
You can’t mention a list of the best dividend stocks to buy right now and not mention one of Canada’s big banks. The banks offer a reliable (and defensive) revenue stream at home and significant growth prospects outside of Canada.
They also boast tasty, well-covered dividends that can offer decades of uninterrupted growth.
In the case of Bank of Montreal (TSX:BMO), that dividend works out to 4.43%. It’s also worth noting that BMO is the oldest of the big banks and has been paying out that dividend without fail for nearly two centuries.
Turning to growth, BMO’s growth has focused in recent years on the U.S. market. BMO is now one of the largest in the U.S., with a presence in 32 state markets.
Option #5: BCE
BCE (TSX:BCE) is one of Canada’s largest telecoms and, like BMO, has been paying out dividends for over a century without fail. In recent years, BCE’s stock price has come under pressure, leading to a 33% decline in the past 12-month period.
During that same period, BCE’s dividend soared to an insane 11.97%.
BCE is slashing costs and revamping parts of its business model. Those efforts are starting to show some success, but it will take time. BCE even paused its annual dividend uptick.
For investors, this means that BCE is a higher-risk long-term holding.
The dividend stocks to buy right now
All stocks, even the most defensive, carry risk. That’s why diversifying is so important. The above stocks provide defensive appeal as well as growth and tasty income potential.
In my opinion, a small position in one or all of the above should be included in a larger, well-diversified portfolio.
